EBRD to offer $44m loan to Egyptian dairy and juice producer Beyti

The European Bank for Reconstruction and Development (EBRD) is offering a $44m loan to Egyptian dairy and juice producer International Company for Agricultural Industries Projects (Beyti).

Beyti is one of the largest producers of milk, juice and yoghurt in Egypt. It operates a fully automated facility on the Cairo-Alexandria Desert Road and employs more than 3,000 people.

The juice maker intends to use the loan to expand its production and logistical capacity to cope with the growing national and regional dairy and juice sectors in the country.

The loan will help the company to increase its production of raw milk and fruit concentrate at local dairy farms and juice concentrate producers.

As part of expanding the logistical capabilities, the company intends to add more distribution centres to achieve a higher number of sales points.

Beyti CEO Mohamed Badran said: “We are very happy with our agreement with the EBRD that will create new opportunities for our business.

“Partnering with a financial institution that puts such focus on promoting environmentally and socially sound and sustainable development is of added value to any business.”

The loan from the EBRD will be used by the Egyptian dairy company to refinance existing short-term loans with a longer tenor loan that are more suitable for its investment and development phase.

The loan includes a committed tranche of up to EGP150m ($8.3m) and an uncommitted tranche of up to $35.5m.

Beyti aims to reduce its carbon footprint with more efficient use of water and energy and deployment of renewable energy sources.

EBRD southern and eastern Mediterranean (SEMED) region Agribusiness head Tarek El Sherbini said: “We are extremely pleased with the signing of our first project with Beyti and with two major international shareholders, Almarai Company, and Pepsico.

“We look forward to increasing strategic cooperation in Egypt and other common countries of operations.”